Redbox Planning To Go After Netflix With Streaming Servicehttp://www.businessinsider.com/redbox-wants-to-take-on-netflix-with-a-subscription-service-2011-2/comments
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A good idea.http://www.businessinsider.com/c/4d5d743fccd1d5b447030000mainstreetjournalThu, 17 Feb 2011 14:17:19 -0500http://www.businessinsider.com/c/4d5d743fccd1d5b447030000
The streaming business is going to squeeze Netflix's margins, but it certainly helps that they already have such a huge foothold. Redbox is starting with almost nothing with streaming, but there are plenty of people who really like Redbox. I've written quite a bit about Redbox, as well as Netflix, on my blog ProofTrader, most recently stating that the overblown reaction to one bad quarter shows Wall Street doesn't think long term. It's interesting to see the stock pop so much on this news, which to me doesn't seem to be news at all - we've known they've been working on a streaming deal with a partner for months, the question is who, when, how much, and what devices.http://www.businessinsider.com/c/4d5d6048ccd1d5b641040000VRSpockThu, 17 Feb 2011 12:52:08 -0500http://www.businessinsider.com/c/4d5d6048ccd1d5b641040000
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Redbox is being squeezed out of physical distribution by not having hits on time in a hits driven business. They have no option but to try and take old content online.